Covid lockdowns may spell disaster for this stock, page-4

Incorrect.

Most of their lending is unsecured, and thus undertaken without a PPS registration. And if any security is lodged, it is typically ranked behind the primary lender (e.g. the borrower's bank).

In the event of borrower insolvency, Prospa would be lucky to collect out on anything after primary charge holders, employee entitlements, and administrator fees.

Prospa rarely, if ever, takes mortgage security over the director's residential property. Perhaps you need to phone the company yourself if you require clarification on that front for your own DD purposes.